You are on page 1of 11
MEMORANDUM August 8, 2011 To: Mark Dorsey, PE ‘The Honorable Lary Coppola, Mayor ‘The Honorable Rob Putaansun ‘The Honorable John Clausen ‘The Honorable Fred Olin From: Treasurer Allan Martin In order to provide customers with a reliable and fairly priced supply of safe drinking water, our system’s rate structure must produce enough money to operate in a financially sound manner. Some of the factors facing the City include: Geraldine Harmon testified to council on July 26, 2011 requesting the city consider a per gallon charge. Gerry provided an excel spreadsheet of her water rate calculations and asked that the City look over her calculations and also asked for information on the number of water accounts. Ms. Harmon’s base for her gallon calculations’ is a unit price for a single unit of measure of water sold in more or less than a single unit. The City prices on a base price plus a cost per 1,000 gallon of water. The point she seeks to make is that Class 1 single family residence Maintenance, repair, and replacement costs that are increasing with the age of the ‘water system and its components Increased cost for water treatment Inflation Past revenues not covering the true cost of water delivery subsidize in a form of financial assistance commercial water users. ‘The chart below identifies consumers by Class, number of Accounts, Revenue, and Gallons Consumed. 210 iS Revewe

You might also like